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RealMoney Radio Mailbag: Google and Apple Are Must Owns

TheStreet.com Staff

Editor's note: The following are questions received from listeners of "RealMoney Radio." To send Cramer a question about topics from his radio show, click here. Listen to Cramer's latest radio show by clicking here.

Why does Google (GOOG Quote) have a higher earnings multiple than Apple (AAPL Quote)?

-- Jonathan

Jim Cramer: Google has a higher multiple because it is growing much faster than Apple, and growth is a primary determinant of how high a multiple investors will assign a stock. Nonetheless, I believe both Google and Apple are great stocks to own right now and both should trade much higher over the next 12 months.

Want more Cramer? Check out Jim's rules and commandments for investing from his latest book by clicking here.